Built in 1998 on the site of the former Hotel Berolina, the 13-storey, 50m high Rathaus Mitte building comprises circa. 20,000 sqm and is 100% long-term let to the Municipality of Berlin. The asset is strategically located in the heart of Berlin’s city centre district with the Schillingstraße subway station situated directly in front of the building.

Jean-Philippe Blangy, Managing Director, Head of Asset Management at Tristan Capital Partners, said: “Together with our long-term partner caleus capital investors, we have completed the successful repositioning and sale of the asset, achieving our objective of prolonging the lease with the Municipality of Berlin and thereby converting this well located asset to a secure and long term let core investment product with upside potential at lease expiry. This transaction is an example of how we work hard to identify investment opportunities with a single impairment for our core plus fund series and seek a disposal once the asset management plan has been successfully implemented to achieve exceptional returns for our Fund and its investors.”

Alejandro Obermeyer, Head of Investment Management DACH at Union Investment Real Estate GmbH, said: “For a conservative, long-term oriented investment manager like Union Investment, the Rathaus Mitte is an exceptionally good investment opportunity. Berlin Mitte continues to develop very positively overall and with an office vacancy rate of two percent it is at a historical low level. The Municipality of Berlin is a very reliable tenant and the Rathaus Mitte fits perfectly into our portfolio."

The property is located in the immediate vicinity of numerous city landmarks and Alexanderplatz (circa 500 metres walking distance), which is Berlin’s pre-eminent central business district and transport hub. It is one of Berlin’s most popular and sought after business and tourist locations.